Sonatel, S.A. (Sonatel, the Company) is a leading player in the telecommunications market in Senegal with operations in mobile, fixed voice, broadband and mobile money markets, and a strong footprint in five countries in the West Africa region (namely, Guinea, Guinea Bissau, Mali, Senegal and Sierra Leone). The Company was privatized in 1997 and as of today 42 percent of its shares are owned by Orange, 27 percent by the government of Senegal, 8 percent by its employees and the remaining 23 percent are publicly traded on the regional stock exchange, Bourse Régionale des Valeurs Mobilières (BRVM).                                                 

Through its investment in the SLF and the ABS, IFC will be financing the Project, i.e. Sonatel’s capital expenditure plan of about €202 million between 2023 and 2024, which is focused on improving foundational capacity infrastructure including rural coverage, which will benefit other market players as well as drive key competitors to follow course. The Project could also involve 1-2 overseas investments to expand the Company’s business in the region. If IFC funds are used to make an international investments, this will only take place based on IFC’s customary due diligence of the target investments.                                               

                 Senegal                                  

   This is a Category B project according to IFC's Policy on Environment and Social Sustainability (2012) because it has potential limited adverse E&S risks and/or impacts that are few in number, generally site-specific, largely reversible, and readily addressed through mitigation measures. Key E&S aspects identified during the appraisal are: (i) adequacy of the Company’s E&S management system (ESMS); (ii) labor and working conditions for direct employees and contractors alike, including aspects related to occupational health and safety (OHS) ; (iii) solid and liquid waste management; (v) life and fire safety and emergency response; (vi) transport management and ensuring the safety of drivers and the public; (vii) security management; (viii) biodiversity; and (ix) stakeholder engagement.